Visa to aquire Plaid for $5.3 billionChristian Fernsby ▼ | January 14, 2020
Visa announced it has signed a definitive agreement to acquire Plaid, a network that makes it easy for people to securely connect their financial accounts to the apps they use to manage their financial lives.
Topics: Visa aquire Plaid
Plaid’s products enable consumers to conveniently share their financial information with thousands of apps and services such as Acorns, Betterment, Chime, Transferwise and Venmo.
Consumers rely on these apps and services to help plan their spending, increase their savings and monitor their investments.
For example, when a user sets up a Venmo account, it is Plaid that enables the user to link their bank account to their Venmo account.
Connectivity between financial institutions and developers has become increasingly important to facilitate consumers’ ability to use fintech applications.
75 percent of the world's internet-enabled consumers used a fintech application to initiate money movement in 2019 versus 18 percent in 20151.
Plaid has been a leader in enabling this connectivity at scale.
Today, one in four people with a U.S. bank account have used Plaid to connect to more than 2,600 fintech developers across more than 11,000 financial institutions. ■